Purpose of Registration Securities registered for cash sale for the account of the issuers aggregated $49.9 billion in fiscal 1972. This was $8.6 billion less than the record 1971 amount but $1.7 billion above the 1970 level. The decrease was primarily due to a reduced volume of debt issues; only $20.1 billion of bonds, debentures and notes were registered for the account of the issuer during the year compared with the $27.6 billion in fiscal 1971. Securities registered for the account of the issuer for other than cash sale, such as stock underlying a convertible issue, also declined in 1972. However, the registrations of secondary offerings (for the account of other than the issuer) jumped 68 percent and totaled $6.8 billion in 1972. Registrations of immediate cash offerings amounted to $31.0 billion, down sharply from the record $38.2 billion in 1971. All of this decline was attributable to new debt offerings which fell nearly $9 billion to $18.8 billion in 1972. New flotations of common stock, however, rose to a record $10.0 billion for the year. Preferred stock registrations declined sharply from the record level of 1971, although these issues continue to attract increasing attention as a means of raising capital. Registrations of extended offerings amounted to $18.8 billion in fiscal 1972, unchanged from a year earlier. The larger part of this total consisted of investment company shares, registrations of which rose slightly to $11.4 billion during the year. New Corporate Securities for Securities cleared for cash sale exceeded $30 billion during fiscal 1972, considerably below the record of nearly $40 billion during the previous fiscal year. Equity issues accounted for 40 percent of the total. In recent years this proportion has been significantly higher than in preceding years, as corporations have sought to improve their debt-equity ratios. NEW CORPORATE SECURITIES EFFECTIVELY REGISTERED 1 Regulation A ceiling rose from $300,000 to $500,000 on March 26, 1971. Registered securities association Rules do not conform to statutory require. ments. Violation of 1934 Act or rule thereunder; failure to enforce compliance with own rules; engaging in activity tending to defeat purposes of provision of 1934 Act authorizing national Bar or suspension from association with a broker-dealer or investment adviser, or censure. (1934 Act, Section 15(b)(7); Adviser Act, Section 203(f)). Bar or suspension from association with member of registered securities association. (1934 Act, Section 15A(1) (2)). Prohibition, permanently or temporarily, from serving in certain capacities for a registered investment company. (Investment Co. Act, Section 9(b)). Bar or suspension from association with a broker-dealer. (Securities Investor Protection Act, Section 10(b)). Suspension of registration (1934 Act, Section 15A(b)). Revocation or suspension of registration (1934 Act, Section 15A(1)(1)). |